Z Flops on Flips
Zillow (Z) got absolutely killed in the wake of its disastrous earnings announcement. As you may have heard, they got caught with their hand in the cookie jar, buying up way to much property. They have been forced to give up flipping houses entirely and face $550 million in losses, as well as laying off a quarter of their workforce.
We started the day looking for 75 to reject. When it did, we bought puts at various strikes ranging from 75 to 65. Great to see multiple members on the same idea and bank.
The 70 put options for $1 went as high as $7, a 700% increase. The best part is, the "work" for planning and executing the trade all happened in two hours.
I can't stress this enough, planning trades using the watchlist levels can change your world. I had a level at 63 after 69 break. Today's low of day 63.13.
If you want to learn to be a two hour trader and how to plan monster risk/reward trades request to join us.
AMZN Takes its Turn
We have been watching big tech companies ride a kind of carousel, ripping one after another. Today was AMZN’s turn. We were looking for it to clear 3335. When it did, we went long with a target of 3375 and it ripped right up there, even peaking at 3385 for the day.
If you had bought 3400 calls for $6, you could have sold them for as much as $22. Easy money … if you know how to plan trade and buy at key levels. For those that waited for the breakout, still good money!
The Federal Open Market Committee (FOMC) met today, and it genuinely looks like buyers were just waiting for the meeting to happen before sending the market on yet another tear. Tesla (TSLA) looks poised to rip again, and traders are scooping up 155 calls on Apple (AAPL) like kids in the proverbial candy store. It’s going to be yet another interesting week!
Looks like Musk did it again with his tweet, trapping shorts, closed over 1200 today. I'm looking for possible squeeze into 1400 over next week or two.
Member Trade of the Day
Edumomo member HitmanH grew his account 7% within the first 30 minutes of the trading day with an assist from Edumomo member doublestonks, who called out a possible rip on Gamestop (GME). Great teamwork, guys!